As a firm that holds a Start Up Surgery every month one of the recurring themes is how do we fund our business/idea ?
The answer to this query is not always straight forward and the lack of availability of grants has further hampered the funding process. However, it isn’t all doom and gloom, there are solutions out there and depending on the level of funding lending rates are fairly reasonable.
One of the funders that isn’t being utilised to its fullest is the Start Up loan that is offered by the Chamber of Commerce . This can lend up to £25,000 per individual involved with a maximum of £100,000 available. With rates at 6% and a loan term of 5 years this makes this solution an excellent proposition. We have assisted a number of clients with the process and the response time post application/required information by the Chamber is swift.
Outside of this solution, contra to popular belief, there is a high street alternative with the Enterprise Finance Guarantee scheme still in place to assist individuals without the sufficient security required to back the deal. Again we have assisted a number of clients along this route and it is an area that is looked at by banks in general.
A further solution has been launched in February 2017 with the Northern Powerhouse Investment Fund looking to assist with start up funding.
In general all of these solutions require a number of things:
- An idea
- Financial forecasts
- A business plan
We can help with 2. and 3. number 1 is down to you!
